§2706. Time limit on certain defenses

There shall be a provision as follows: [1969, c. 132, §1 (NEW).]

Time limit on certain defenses: [1969, c. 132, §1 (NEW).]

(a).
After 3 years from the date of issue of this policy no misstatements, except fraudulent
misstatements, made by the applicant in the application for such policy shall be used
to void the policy or to deny a claim for loss incurred or disability, as defined
in the policy, commencing after the expiration of such 3-year period.

[
1969, c. 132, §1 (NEW)
.]

1.
The foregoing policy provision shall not be so construed as to affect any legal
requirement for avoidance of a policy or denial of a claim during such initial 3-year
period, nor to limit the application of sections 2717 through 2723 in the event of
misstatement with respect to age or occupation or other insurance.

[
1969, c. 132, §1 (NEW)
.]

2.
A policy which the insured has the right to continue in force subject to its terms
by the timely payment of premium 1 until at least age 50 or, 2 in the case of a policy
issued after age 44, for at least 5 years from its date of issue, may contain in lieu
of the foregoing the following provision, from which the clause in parentheses may
be omitted at the insurer's option, under the caption "Incontestable:"

[
1969, c. 132, §1 (NEW)
.]

After this policy has been in force for a period of 3 years during the lifetime of
the insured (excluding any period during which the insured is disabled), it shall
become incontestable as to the statements contained in the application. [1969, c. 132, §1 (NEW).]

(b).
No claim for loss incurred or disability, as defined in the policy, commencing after
3 years from the date of issue of this policy shall be reduced or denied on the ground
that a disease or physical condition not excluded from coverage by name or specific
description effective on the date of loss had existed prior to the effective date
of coverage of this policy.

[
1969, c. 132, §1 (NEW)
.]

SECTION HISTORY

1969, c. 132, §1 (NEW).

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